Thursday March 7, 2013
Waking up to a view of the Arabian
Sea was an amazing way to begin our first full day in Mumbai. After a great
breakfast at the hotel, Trident at Nariman Point, we embarked on our first
journey to visit the Future Supply Chain warehouse, FSC, which is a part of The
Future Group. We took advantage of the two-hour bus drive to FSC to catch up on
some much needed sleep. There are just not enough hours in the day to be able
to see everything that Mumbai has to offer! Once arriving at FSC's warehouse,
managers showed us a brief PowerPoint about the ins and outs of their supply
chain operations.
Founded in 2007, FSC is currently the
largest retailer in India and has five different working zones, east, west,
north, south and central. Visiting the west location we got to see the largest
warehouse used in India. FSC has around 60 employees and 400 associates with
companies such as Big Bazaar as well as external customers such as Ford, Cadbury,
Tata Motors, ITC, and Johnson and Johnson. FSC operates with multiple
manufactures and stores laced through technology. The supply chain begins with
pre- receiving and unloading where items are organized and scanned into the
smart warehouse system where the system then sorts the items depending upon whether
it should be stored or packaged for delivery. This "put to life"
(PTL) scanning procedure increases the supply chain accuracy by one hundred
percent. This process also allows each product to be ready for shelves with
SKUs already in place.
Competition is not an issue as FSC
managers stated during our visit. FSC has been in the industry for 10 years and
during that time they have established crucial relationships. Even though
companies such as Wal-Mart are entering into the Indian marketplace, FSC is not
worried. They are calling the competition ‘partners’ because
companies such as Wal-Mart will come in and need support with issues like IT
and storage, and thus FSC will be there to assist and gain business.
After a brief presentation about the
above information, we were served a lovely snack of coffee, tea and cookies
before we got a tour of the facilities. We were first brought to the largest
warehouse with the tallest ceilings. FSC utilizes warehouse space to the max
with its specially designed forklifts that allows them to place and take down
merchandise with ease. In addition to the normal warehouse rows, there was also
a large encasement for cold products. You could instantly smell the scent of
cocoa when walking into the cold storage room from the raw materials that were
being stored for the manufacturing of chocolate. After browsing this warehouse,
we were taken to another warehouse where we witnessed a sorting assembly line.
In this situation, workers placed bins on a belt. Each box has a SKU that was
scanned by a worker and if the item were to be placed in a corresponding box,
the light and number of items would appear underneath the corresponding box.
The employee would then place the items in the box, turn off the light, and
continue the same process.
After a long morning in the hot
warehouses of FSC we decided to have Pizza Hut for lunch. Eating nothing but Indian
food since our arrival, many of us were excited to see pizza. However, the
Pizza Hut Mumbai menu was a bit different from the one in Miami. We found
region specific menu items like chicken tika pizza and vegetable-paneer pizza. After
lunch we had the great pleasure to meet with Anshuman Singh, the Managing Director
and CEO of FSC who was very insightful and answered many of our questions about
supply chain management and doing business in India.
-India from the eyes of Jody and
Stephanie
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